Hapag-Lloyd steaming ahead

The German flag carrier has ordered four 13,200 TEU ships and is buying back its corporate headquarters in Hamburg

Following a record result in the first nine months of 2010 and its successful refinancing on the capital market, Hapag-Lloyd is again investing.

It has ordered four vessels with a capacity for 13,200 TEU from Hyundai Heavy Industries in Korea, while six ships ordered at the beginning of 2008 will be upgraded to the same capacity.

The 10 new vessels are scheduled for delivery between mid-2012 and the end of 2013 and are intended for service on the Far East routes operated jointly with the partners in the Grand Alliance.

The company has also bought back its headquarters in Hamburg’s Ballindamm, overlooking the Binnenalster, a move that is about much more than a financial transaction.

“This is a clear sign that Hapag-Lloyd has returned to its previous position of strength and will take advantage of its opportunities to grow profitably”, said Michael Behrendt, Chairman of the Executive Board of Hapag-Lloyd AG.

“The step up to the next vessel size is as well-considered as it is important for Hapag-Lloyd. The repurchase of our Ballin House, which we are especially pleased about, is also of great symbolic value.”

In addition to these investments, Hapag-Lloyd has been able to pay financial liabilities amounting to some E600M back to its shareholders. This also includes hybrid capital amounting to E332M (“Hybrid III”).

Hapag-Lloyd has engaged Deutsche Bank as its advisor for the envisaged Initial Public Offering (IPO) or the sale of shares.